Letter to Mr. John Shirey, California Redevelopment Association

In our report The 2011-12 Budget: Should California End Redevelopment Agencies? (http://lao.ca.gov/Publications/Detail/2440), we analyzed the California Redevelopment Association’s study regarding the economic effects of redevelopment. We concluded that this study significantly overstated the number of jobs resulting from redevelopment. After publication, the researchers explained to us why they thought two of our three reasons were partly incorrect. The purpose of this letter is to clarify the extent to which we agree and disagree with their observations. While we appreciate the additional information on this study, the information provided does not change our criticisms of the study or our finding that it vastly overstates the employment effects of redevelopment.